Tag: buyout

Brett Lebda

Predators finally buy out Brett Lebda

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Brett Lebda’s very short-lived days as a Nashville Predator are over. According to James Mirtle of The Globe And Mail, the Predators have bought out the recently acquired blue liner.

Lebda was acquired from the Toronto Maple Leafs in a deal that saw Nashville send defenseman Cody Franson and concussed forward Matt Lombardi to Toronto in exchange for Lebda and Robert Slaney. The deal was a cost-cutting move for Nashville as they were unsure if Lombardi would be able to come back this season while he recovers from a concussion suffered early last season. As it turns out, he’s making progress and could very well play this seasons.

Lebda was due to make $1.45 million this year and compete for a spot in the top six of the Predators defensive unit but will instead be dead weight against their cap the next two seasons as two-thirds of his $1.45 million will be paid out over that time. After a miserable season in Toronto, Lebda proved to be one of Leafs GM Brian Burke’s more questionable signings, but that bad signing has instead turned into at least one quality defenseman in Franson and a potential top-six forward (when healthy) in Lombardi. It was a good deal alone with Franson but if Lombardi comes back to play, it’s a robbery by Burke on Predators GM David Poile.

Report: Predators put Brett Lebda on unconditional waivers; Buyout coming… Or not?

Brett Lebda

When the Predators swung a deal with the Maple Leafs that sent Cody Franson and Matt Lombardi to Toronto in exchange for Brett Lebda and Robert Slaney, the deal was already being hailed as a big winner for Toronto. For Leafs fans, getting rid of Lebda was a big enough win but getting the young Franson in return to play defense and to get Lombardi, who is recovering from a wicked concussion suffered last season and progressing well in doing so, it’s made the deal all the better for them.

For Nashville, Lebda was set to be a depth defenseman for them but now, it appears he’s about to be out of a job. Sportsnet’s Nick Kypreos reported that Lebda will be put on unconditional waivers by the Predators and will likely turn into a buyout candidate for the team. The question here for the Predators is whether they can buy out Lebda at all. Dirk Hoag at On The Forecheck digs into the NHL legalese to see if GM David Poile can help rid themselves of Lebda without breaking the rules of the NHL.

But what confuses me is how the Predators can actually buy him out, given Section 11.18 of the CBA (emphasis mine):

11.18 Ordinary Course Buy-Outs Outside the Regular Period. Clubs shall have the right to exercise Ordinary Course Buy-Outs outside the regular period for Ordinary Course Buy-Outs in accordance with Paragraph 13(c)(ii) of the SPC. Each Club shall be limited to no more than three (3) such buyouts over the term of this Agreement pursuant to Paragraph 13(c)(ii) of the SPC. However, in the event that a Club has only one salary arbitration hearing pursuant to Section 12.3(a) in a given League Year, such Club shall not be entitled to exercise such a buyout outside the regular period for Ordinary Course Buy-Outs. No Club shall exercise an Ordinary Course Buy-out outside the regular period for any Player earning less than $1 million.

The “regular period” referred to is the window from June 15 through June 30 when players (such as J.P. Dumont this year) can be bought out of their contract. Since the Preds only had one salary arbitration hearing that falls under Section 12.3(a) this summer (you may have heard of it recently), it would appear that they’re not allowed a buyout at this point in time.

Well this is a bit of a sticky issue if this is indeed in the plans of the Predators to ensure that Lebda is not on the team next season. With Lebda due $1.45 million next season, his buy out wouldn’t be an expensive one and would only hang on the Predators cap for this year and next at a cheap rate. if the Predators aren’t allowed to buy out Lebda, this is just a really awkward way of telling him that he’s not going to be playing in Nashville anyhow. That said, Buying out Lebda would also ensure that the Predators blue line corps is really, really young.

With Lebda out of the mix and Francis Bouillon still dealing with concussion problems of his own, the Predators will have to go with young star and 2009 first round pick Ryan Ellis as well as a mix of guys like Roman Josi, Teemu Laakso, Mattias Ekholm, and recently signed Tyler Sloan from Washington. Mixing those guys in with veterans like Ryan Suter, Shea Weber, Kevin Klein, and Jonathon Blum that would leave two starting spots to fight for with Lebda gone. The Predators are big on home grown players, but even going with a defensive unit like this would seem like a big risk.

Then again, if this is their plan, the best abilities of coach Barry Trotz will be pushed to the limit.

Devils waive Trent Hunter and Colin White; Buyouts on the way

Colin White

Last year the Devils had a major issue keeping a full roster under the salary cap and while they did the best they could, there wasn’t a lot of flexibility for them. This summer, things have changed. The Devils traded away Brian Rolston in favor of Trent Hunter from the Islanders and with Rolston’s brutal contract off the books, GM Lou Lamoriello isn’t stopping there with helping lower the Devils’ cap hit.

New Jersey is waiving both the newly acquired Hunter and defenseman Colin White with the purpose of buying them out. Hunter is due to make $2 million against the cap this season and next season while White has a $3 million cap hit this season. Should both players clear waivers tomorrow at noon, the Devils will be cashing out their contracts and making them unrestricted free agents.

While buyouts are a last resort for cost cutting, the Devils are set to free up a good chunk of change with these moves as Tom Gulitti of Fire & Ice points out.

For White, the buyout would be $2 million with the cap hit spread over two years—or $1 million per year. For Hunter, the buyout price would $2,666,667 with the cap hit spread over four seasons—or $666,667 per season.

In total, the Devils would save $3,333,333 in cap space in the 2011-12 season. They already have approximately $2.5 million in cap space (depending upon which players are on the roster).

With the Devils freeing up that sort of space, they’ll have the sort of room for adjustment that they didn’t have last year when juggling Ilya Kovalchuk’s new contract along with other poorly financed deals on their books. Paying out dead cap space of nearly $2 million this year sure beats having anywhere from $5 million to $7 million in awful contracts with players that may or may not be living up to their amount.

What the Devils will do with that added cap space is up to the mad genius himself, Lamoriello. The likely action here is to work on getting Zach Parise’s long-term extension hammered out. Parise signed a one-year deal last week after being unable to come to an agreement on a long term one and did so to avoid going to arbitration. With the added savings in the long run from getting rid of White, Hunter, and Rolston’s deals, Lamoriello can how move a little easier towards getting Parise locked up for a long time in New Jersey.

With White’s departure from the Devils, that leaves just Martin Brodeur and Patrik Elias from the last Devils Stanley Cup team in 2003. No one else on the roster has won the Cup elsewhere. If the Devils had more of a reason to be hungry to win after they did so poorly last year, having long-standing former Cup winners departing from the team and growing older still should serve as motivation to get the rest of the team going. With the soon-to-be-had salary cap freedom, the Devils can now better make the moves needed to get them back on top of the NHL.